This post grew out of a reply to a question put to me by Jim in the comments section of the post befire thi one. The reply got too long and I thought might be of broader interest.See his comment for the reference to the article. But you don’t need to have read it to …
The problem with the Stress Test is no one believes it is based upon a truthful set of bank data nor on a likely set of ‘stressful’ conditions. Other than those two minor points its all pure gold. Bank tests are the modern equivalent to old fashioned militarty manoeuvers. You know the kind practiced by …
China has loosened its peg to the dollar. So reads triumphant headlines in the West. As if this were some sort of Chniese climb-down. It is not. I said in a post a little while ago, the Chinese would not allow their currency to appreciate. So surely I should admit I was wrong and keep …
Every now and again, in every society, the relations of who has what power and over whom, alter. At first all the same players are still in the game and it may look, for a while at least, even to those involved. that nothing has changed. Only that the outcomes of actions seem erratic and …
One of the largest components of the global financial order was the US consumes/ China produces, relationship. A relationship whose return loop was China buys US debt. Smaller parts of this machinery were the off-shoring of US jobs to China and the sucking in of every sort of raw commodity (metals and coal) to fuel …
China to U.S. – I still care for you. But as a friend Read More »
Spanish Bond “relief” and US jobless claims “surprise”. OK someone tell me, is it me or the headline writters who are living in a parallel reality? First Spain – the “relief” according to the aritcles I’ve consulted all agree, is because Spain had ”no trouble’ selling its 10 and 30 year bonds. All the print …
Surprise! Spain, Bulgaria and US Growth – Good news for everyone! Read More »
Both Fannie Mae and Freddie Mac have de-listed their shares today. Under the orders of their conservatorship. The reasons are not hard to find – both are in a realm of brokeness for which there is no adaquate word. We are talking of a Trillion dollars worth of worthlessness. Last month their shares went to …
Fannie and Freddie and shares suspended – a scatological update Read More »
The future of making the Austerity plan work. That is the white paper being prepared in every capital city in Europe. Here are some of the items likely to be in it. First Pensions must be cut. First public pensions. To do this a careful campaign of demonizing public workers must be persued. Stories must …
We are rapidly approaching another massive bail-out. This time of Spain. Of course it will not be called a bail-out. That is now too contentious a term. It will be called something technical and reasonable, like, ‘a European borrowing facility’. It’s officially stated purpose will be , ‘to facilitate and provide reasonable borrowing terms to …
I think BP should pay compensation. I think there should also be some sort of enquiry into who was really resposible for what. I doubt BP is alone in being culpable. But for the Americans who feel rightly agrieved at the despoilation of their coast by this spill I have one word of caution – …
